Fannie Mae’s Economic & Strategic Research Group has forecast a significant increase in new home construction in 2020 and 2021, predicting that it will reach a post-recession high. After a low 1% increase in single-family housing starts in 2019, they foresee an increase of 10% in 2020 and reaching a million new homes in 2021.
According to Doug Duncan, chief economist at Fannie Mae, “We expect single-family housing starts and sales of new homes to increase substantially aided by an uptick in new construction as builders work to replenish inventories…”